You can choose anybody you like to be the executor of your Will, but consider who will do the best job.
Executors, or personal representatives (as they’re called in Florida), are legally responsible for several tasks, including identifying everything in the estate, collecting all the assets, and paying all the debts and liabilities. When all of that is done, then the personal representative is allowed to make distributions to beneficiaries, in accordance with the terms of the Will.
nj.com’s article on this topic asks “Should I choose a bank to be the executor of my will?” The article explains that there are some advantages in designating a bank as a personal representative.
- The trust departments of a bank are in the business of managing money and are experienced in administering estates. This typically means they may be able to settle the estate more quickly and efficiently than a family member could.
- Banks have policies and procedures in place to make certain that the assets are protected from mismanagement and theft.
- Banks are impartial parties that cannot be influenced by beneficiaries. Impatient beneficiaries can be a big headache for a family member who is asked to be executor. Relationships can deteriorate over the enforcement of the terms of a Will, especially when one sibling is named executor and has the authority over the administration of the estate—perhaps to the detriment of her brothers and sisters.
What are some of the disadvantages? While any executor is entitled to compensation under state laws, family members frequently waive this – especially if they’re also a beneficiary. However, banks do charge fees for serving as executors, and these fees may be higher than you’d expect. Also, many banks won’t serve as executor unless the estate is substantial enough to meet the minimum fees charged by the bank.
But, if you’d prefer not to burden your loved ones with months of time-consuming and aggravating work settling your estate, and family harmony is important to you, consider naming a bank as your executor.
Reference: nj.com (November 5, 2019) “Should I choose a bank to be the executor of my will?”
Other articles you may find interesting:
What Does an Executor Actually Do?